Producer prices rise more than expected

Prices received by goods producers rose more than expected in November, a potential sign of inflation pressures picking up.

In November, prices for final demand climbed 0.3% over last month and 0.5% on a "core" basis, which excludes the more volatile cost of food and gas. Compared to last year prices fell 1.1%, less than expected.

Expectations were for the report to show prices were flat in November and down 1.4% compared to the prior year. Excluding the more volatile costs of food and energy prices were expected to rise 0.1% over last month and 0.2% over last year.

Producer prices measure the prices received by domestic producers of goods, and so serve as a measure of inflation on the production rather than consumption level.